Private sector job growth rises more than expected in December: ADP
BNY Mellon Wealth Management head of equities Alicia Levine and Simplify Asset Management chief strategist Mike Green discuss whether the Fed's inflation strategy is working on 'Making Money.'
Hiring by U.S. companies rose more than expected in December as the labor market remained resilient even in the face of higher interest rates, according to the ADP National Employment Report released Thursday morning.
Companies added 164,000 jobs last month, beating the 115,000 gain that economists surveyed by Refinitiv predicted. It marks the best month for job creation since August.
The stronger-than-expected report comes in the wake of an aggressive tightening campaign by the Federal Reserve, which has hiked interest rates to the highest level since 2001. But policymakers have signaled in recent weeks that they are done raising rates amid signs that inflation is finally moderating and the economy is starting to slow.
WORKERS NOW DEMANDING NEARLY $80K TO START NEW JOB
Workers replace power lines in Monterey Park, California, on Oct. 6. (FREDERIC J. BROWN/AFP via Getty Images / Getty Images)
In a welcoming sign for the Fed, wage growth continued to slow in November.
Annual pay rose 5.4% last month, the 15th straight month of slowing growth, according to the report. For workers who switched jobs, wages climbed 8%, down from 8.3% the previous month.
«We're returning to a labor market that's very much aligned with pre-pandemic hiring,» said Nela Richardson, ADP chief economist. «While wages didn't drive the recent bout of inflation, now that pay growth has retreated, any risk of a wage-price spiral has all but disappeared.»
RISING CHILD CARE COSTS ARE STARTING TO BITE US FAMILIES
The leisure and hospitality industry drove the
Read more on foxbusiness.com
